Having plunged into fresh political turmoil when parliamentary deadlock forced the government in Greece to call a snap general election for 25 January - and thus opening the door to a possible victory by the leftwing populist party Syriza - Angela Merkel delivered a powerful warning against populism and prejudice taking root in Europe amid deepening fears about economic stagnation.

Her attack in a New Year's broadcast on Europe's populist parties came precisely after Greece succumbed to "dangerous" populist calls for the government to resign. Ms Merkel also called for European Union "'cohesion" in the face of Russian aggression, the upsurge of Islamist militancy in the Middle East and the urgent need to boost Europe's economic competitiveness.

On Ukraine, Ms Merkel left the door open for Mr Putin to reconsider his actions. She said that Europe "could not and would not" accept Russia's breaking of international law and its denial of Ukraine's right to self-determination. She concluded by saying that she wanted "security in Europe together with Russia and not against Russia!'"

However, the bully from Moscow, Mr Vladimir Putin, used his New Year's address to say that the return of Crimea to Russia "will forever remain a most important milestone" in its national history.

For months now, Mr Putin has bullied and cajoled Ukraine and the European Union and even now he seems poised for more confrontation. Despite being faced with punishing sanctions, a Russian petro-economy pushed to the brink by plunging oil prices plus the wildly deteriorating value of the rouble, Mr Putin remains adamant and ready to face any other tough action by the West.

Jos Edmond Zarb

Birkirkara